(Transactions, Financial Statements-Service Company) Listed below are the transactions of Isao Aoki, D.D.S., for the month of September.
Sept. 1 Isao Aoki begins practice as a dentist and invests $20,000 cash.
2 Purchases furniture and dental equipment on account from Green Jacket Co. for $17,280.
4 Pays rent for office space, $680 for the month.
4 Employs a receptionist, Michael Bradley.
5 Purchases dental supplies for cash, $942.
8 Receives cash of $1,690 from patients for services performed.
10 Pays miscellaneous office expenses, $430.
14 Bills patients $5,120 for services performed.
18 Pays Green Jacket Co. on account, $3,600.
19 Withdraws $3,000 cash from the business for personal use.
20 Receives $980 from patients on account.
25 Bills patients $2,110 for services performed.
30 Pays the following expenses in cash: office salaries $1,400; miscellaneous office expenses $85.
30 Dental supplies used during September, $330.
(a) Enter the transactions shown above in appropriate general ledger accounts. Use the following ledger accounts: Cash; Accounts Receivable; Supplies on Hand; Furniture and Equipment; Accumulated Depreciation; Accounts Payable; Isao Aoki, Capital; Service Revenue; Rent Expense; Miscellaneous Office Expense; Office Salaries Expense; Supplies Expense; Depreciation Expense; and Income Summary. Allow 10 lines for the Cash and Income Summary accounts, and 5 lines for each of the other accounts needed. Record depreciation using a 5-year life on the furniture and equipment, the straight-line method, and no salvage value. Do not use a drawing account.
(b) Prepare a trial balance.
(c) Prepare an income statement, a balance sheet, and a statement of owner's equity.
(d) Close the ledger.
(e) Prepare a post-closing trial balance.